9:16pm: SI.com's Jon Heyman hears that McCourt "intends to fight" MLB for control of the team (on Twitter). It's an uphill battle not just legally, but in the court of public opinion. Legal costs could be another issue for the Dodgers' owner.
3:59pm: Commissioner Bud Selig has announced that MLB will take over the Dodgers' financial operations from Frank McCourt, reports Bill Shaikin of the L.A. Times. Shaikin's colleague Dylan Hernandez adds that Selig "will appoint a representative to oversee all aspects of the business and the day-to-day operations of the Dodgers." Shaikin has the official statement from Selig here. ESPN's Buster Olney calls Selig's takeover "a two-handed shove out the door," and awaits McCourt's legal response.
SI's Jon Heyman wrote earlier today that MLB is "disinclined to grant McCourt's request" for approval of a TV deal with Fox that might have allowed him to retain control of the Dodgers.